Ahead of the last Bitcoin halving event, publicly traded Bitcoin mining companies strengthened their balance sheets. According to analysis by BlocksBridge Consulting, ten of the 12 publicly traded miners generated a total of $2 billion in gross revenue in anticipation of a decline in profitability post-halving.
Marathon Digital, CleanSpark and Riot Platforms were the leading companies in capital raising in the previous quarter, accounting for 73% of the total funds raised. At the end of March, these three companies collectively held $1.33 billion in cash and 32,200 Bitcoin (BTC), worth over $2.2 billion.
Lower funding activity is expected in the second quarter of 2024. According to BlocksBridge Consulting, as of May 15, "less than $500 million has been invested in major publicly traded mining stocks."
Capital raising, which can be used at various stages of a company's life cycle, involves raising capital by selling company shares to investors. Bitcoin mining companies often use this approach to fund infrastructure, make technological upgrades, and cover operational costs, especially to prepare for the Bitcoin halving event.
Miners reported mixed financial results for the first three months of 2024, with BTC prices and mining costs rising. Riot Platforms reported a record net income of $211.8 million, up 1,000% from the same period last year.
Question: What do crypto market makers actually do? Liquidity or manipulation? We are waiting your comments.#blockchain#bitcoin #crypto